TY - JOUR T1 - Non-Traded REIT Performance: A Response to Mallett and McCann JF - The Journal of Wealth Management SP - 102 LP - 108 DO - 10.3905/jwm.2022.1.180 VL - 25 IS - 2 AU - Thomas M. Selman Y1 - 2022/07/31 UR - https://pm-research.com/content/25/2/102.abstract N2 - In their Winter 2021 article, “Further on the Returns to Non-Traded REITs,” Joshua Mallett and Craig McCann claimed to have found significantly lower performance for non-traded real estate investment trusts (REITs) as compared to the performance that investors would have earned in a portfolio of traded REITs. The authors’ analysis suffers from at least four fundamental errors. First, the article erroneously compares the performance of non-traded REITs to a mutual fund that is closed to new investors and that tracks an index of publicly traded REITs. Second, it inappropriately combines data about two types of non-traded REITs: “lifecycle REITs” and “NAV REITs.” Third, it uses a limited time period ending before the COVID pandemic. Fourth, the article arbitrarily discounts the appraised value of the non-traded REITs in its sample. ER -